The basic idea behind scalping in the FOREX market is that you make several small trades during the course of the day. You find a currency pair that you like to trade, predict which way it is going to move and then place a trade. Instead of waiting around for a big trade like you do with other trading strategies, you just wait for a small movement in the direction you want and close the trade. You are aiming for a small profit target instead of a large one. This strategy usually takes place pretty fast. If you are trading during a high volume part of the trading day, the currency will usually move a few pips in a short period of time. Therefore, you may have your trade open for only 10 minutes or less. Sometimes it takes longer, but many times you can do a trade in only a few minutes.

Benefits of ScalpingScalping can be a productive strategy if you know what you are doing. With this strategy, you are not waiting around to hit the big home run. You are just consistently hitting singles throughout the trading day. Even if the market does not move very much throughout the day, you can still net some consistent profits.

With this strategy, you can also protect your trading account better. Instead of taking a large trade with a big stop loss, you are taking several trades with a small stop loss. You are just hoping for a few pips, so you do not have to risk as much to have a successful trade as you would if you were taking big trades.

Disadvantages of Scalping

The big drawback to scalping is that in a short time frame, it is very difficult to predict the direction of the market accurately. The market jumps up and down a lot throughout the day. When you smooth out the data on a larger time frame, you can more easily see the direction of the trend.

Another disadvantage is that it is a very high-paced trading strategy. With other trading styles, it is not so crucial to get in and out at the precise second. You can be patient and trade when you want. With this method, you have to get into the market at a second's notice.

Forex scalping is a popular method involving the quick opening and liquidation of positions. Scalpers can apply a variety of trading strategies when approaching the market once price direction is found.

Thanks for the info, I've never heard the expression scalping before used in this context that is. That said I don't think that this method would be very effective as the short term movements of currency pairs is not easily predicted. This is more of a gamble than a trade. Long term strategies are much more profitable, more easily predicted and require less capital.

I like scalping. Because with scalping. Because I can control my trading. Anyway my broker gave me the freedom to do scalping. That way, I can make a higher profit. because of the many successful transactions completed in a short period of time.

I think it’s not easy to control anything when we are doing scalping as always remember scalping relationship is direct with the amount of experience we have so this is something that does not come easily, hence we have to be water tight in order to gain control over it and you are spot on that broker makes a massive difference.

I trading with world’s best broker OctaFX, it has great system where I can do any technique without any restrictions and it includes scalping, hedging, news trading and even EAs system so this is simply outstanding for me and not to forget I get all my trading orders executed within milliseconds of request, it is easily the fastest execution amongst all good brokers.

Scalping is much quicker and risk fee trading style. So, I always like to use this trading style in the ranging condition of the market. Interestingly, I can trade any Forex currency and CFDs with no commission and no slippage. So, now I am enjoying very much my scalping trading life with ‘TradingBanks’ trading broker. I also get 1:400 trading leverage facility from this ECN trading platform.

Trading with scalping method requires expertise and skill that good. novice traders should not be used to using this technique, but can use other analytical techniques which have a smaller risk. besides, if wrong in choosing a broker with a large spread and slow execution speed would be very dangerous. so now I use tickmill. this broker provide me EUR/USD pair with average raw spread 0.1-0.5 pips and No-requotes on my close to 1700 trades now and Positive slippage on news trading.

Scalping is a technological trading technique that brings profit in a petite time. It is one of the primary earning sources for the people who are newcomer. In point of fact many regulated broker are not passionate to provide this opportunity. But I am very fortunate, because I can easily scalp in my trading platform MXTRADE devoid of in front of any kinds of limitations. This trading platform always ensures best trading environment for scalping by supplying only one pip trading spread. Therefore, I can trade all major currencies with narrowest trading spread. That’s why it is possible to me to make profit in a short time. So my trading life becomes flexible and profitable.